Filed by Canadian National Railway Company
Pursuant to Rule 425 under the Securities Act of 1933
and deemed filed pursuant to Rule 14a-12
under the Securities Exchange Act of 1934
Subject Company: Kansas City Southern
Commission File No.: 333-257298
Date: June 25, 2021
On
June 25, 2021, Canadian National Railway Company (CN) and Kansas City Southern (KCS) issued the following news release.
North Americas Railroad
NEWS RELEASE
CNs JJ
Ruest and KCS Pat Ottensmeyer Emphasized Supply Chain and Environmental Benefits of Transaction in Op-Ed
Affirmed Commitment to Helping American Business Nearshore Supply Chains and Reduce Carbon Footprint
Approval of Proposed Voting Trust Fundamental to Realizing Combinations Benefits
MONTREAL and KANSAS CITY, Mo., June 25, 2021 An op-ed
co-authored by JJ Ruest, President and Chief Executive Officer of CN (TSX: CNR) (NYSE: CNI) and Patrick J. Ottensmeyer, President and Chief Executive Officer of Kansas City Southern (KCS) (NYSE:
KSU) was published in The Hill yesterday under the headline Rail merger is a key to economic growth, supply chain security.
In the op-ed, Ruest and Ottensmeyer articulated how the combination of CN and KCS will supply critical infrastructure to shorten supply chains. They underscored that the combination will enhance competition and support the
economies of the United States, Mexico and Canada, allowing the US-Mexico-Canada Agreement to reach its full potential:
Consider an auto manufacturer in Michigan: Our track would directly connect Detroit to the heart of Mexico, giving U.S. manufacturers more competitive
routes and the ability to create U.S. jobs as they meet new domestic and regional content requirements under the USMCA. Other potential beneficiaries include grain farmers in Illinois, Iowa and Wisconsin who would have expanded reach into global
markets, as well as ethanol producers in Iowa who would have direct access to markets in Mexico; home-builders in Texas and poultry farmers in Arkansas would benefit from expanded supply networks of lumber and source feed ingredients.
Ruest and Ottensmeyer also highlighted key environmental benefits the combination will deliver to customers and communities:
For a single route, from San Luis Potosi, Mexico, to Detroit, Mich., moving freight from trucks to trains would save 260,000 tons of CO2 per year, the
equivalent of the average annual emissions of more than 300 long-haul trucks. Multiply that across multiple routes and years, and the impact would be significant.